I put on a pre-earnings trade for $URI that involved being short stock & long the Oct 57.5 Calls. They announced early on 10/16 and the reaction was positive however. So what is the next step for this trade?
The current price of the the stock is above $60 so this is where the trade stands:
The short stock position hit a Trail Stop today at $59 for a $2 loss
This leaves me with the Long October 57.5 Calls (which expire tomorrow)
Here are a few different paths to take:
1) exercise Calls and sell November 62.5 Calls to collect $1.55 in premium
2) Sell the Calls to book the $3
3) Sell the Calls and Buy a November 60/62.5 Call Spread (this would book some gains)